How to Qualify for a Car Title LoanFast Action Finance
Even though Canadians are doing better than before and poverty rates in Canada are the¬†lowest they’ve been¬†in many years, many Canadians still struggle to afford unexpected expenses.
When you’ve been hit with a sudden expense, you may not want to damage your credit further by putting more charges on your credit card.¬†You may also be concerned that you won’t be able to get approved for a loan because of your credit history.
You know you’ll have more money in the future, but you wish there was a way you could access it right now.
If you’re in a financial bind like this one, it can sometimes¬†feel like you’re out of options — but you’re not.
Now is the right time to apply for a Title Loan.
But what exactly is a car title loan, and where can you¬†apply for one¬†in the Ontario area?
Keep on reading to find out.
The Basics of a Title Loan
Like many Canadians, your car may be one of¬†your biggest investments.
Perhaps you’ve even considered selling it in order to finance your bills or pay for an unexpected expense.
But what if there was a way for you to keep your car¬†and¬†get approved for a loan at the same time?
That’s the premise of a title loan.
Your car — provided you own it in full — can actually be used as collateral within a title loan. However,¬†your lender¬†doesn’t take possession of your car or truck. Instead, you can keep on driving it while the lender simply registers a lien against it.
Then, you’ll receive up to $25,000.
When the loan is paid in full the lender will remove the lien from your vehicle. The lien removal is done online so can be taken off immediately.
Please be aware that, in most cases, if your car currently has a lien on it already, you will not be able to apply for the loan. However, there are a few exceptions to this rule, so it’s best to contact your lender directly for an answer.
The Benefits of a Car Title Loan
So, what makes a title loan¬†such a popular option¬†for so many Canadians?
As we mentioned earlier, it’s an ideal option for those who have poor credit or even very little credit history at all.
That’s because car title loans don’t require credit checks. Instead, you’ll just need to prove to the lender that you have some form of current income — so they know you’ll be able to pay back the loan. Self employed and those on benefits also qualify.
You can provide them with a paystub from your employer or give them bank statements to show you have money coming in from an investment on a regular schedule or benefits.
Another reason why car title loans are a wonderful option?
Because you’re able to get the money incredibly quickly. The application process itself (more on that in a moment) usually takes under an half hour.
Additionally, if your car or truck isn’t currently in your name, you’ll still be eligible for a loan as long as the person who the car is registered to co-signs your loan alongside you.
You can even be approved for a title loan on a company car as long as you can provide proof of ownership of the company. The usual way to prove ownership of a company is to provide a copy of the articles of incorporation
Those who are undischarged from bankruptcy or who are currently in a Consumers Proposal are often approved for the loan.
Car Title Loans: The Requirements and Application Process
As we mentioned earlier, applying for¬†car title loans in Toronto, the GTA and Ontario is a surprisingly fast and easy process.
In fact, you are often able to do it online through an eLoan.
First, you’ll need to provide a copy of your driver’s license and two accepted forms of identification. Acceptable forms of ID include your birth certificate, permanent resident card, passport, SIN card, health card, or other¬†government-issued IDs.
You will also need to provide proof of ownership of your vehicle and proof of insurance. You may also need to provide a pay sub or bank statement. Don’t worry if you are self employed, a pay stub will not be required in those cases.
Additionally, you’ll need to provide a utility bill as proof of current residence as well as a void cheque or a pre-authorized payment form.
Perhaps the most important thing is to take several pictures of your vehicle — eight in total.
You’ll need to show the vehicle from the front, left, right, back, (with visible license plate) odometer, front and back interiors, and the door VIN.
Keep in mind that the car needs to be nine years old or newer and that it must have less than 200,000 KMs on it. However, there are sometimes exceptions to this rule so again, get in touch directly with a lender.
In many cases, you’ll be able to get approved for your loan on the same day you submitted your application — sometimes in as little as half an hour.
Apply for a Car Title Loan with Us
Now that you know more about the ins and outs of applying for a title loan in Canada, we invite you to apply with us online for yours today.
Why go with Fast Action Finance?
Because we’re not like other lenders — our goal is to approve every loan we possibly can, and to work with you to build a stronger financial future.
We’ve been in business since 1997, so you can be assured that we have the experience to help you get exactly what you need. Additionally, we offer other lending options aside from car title loans.
We can also assist you with collateral loans, repair loans, and motorcycle storage loans.
Don’t let your financial situation ruin your peace of mind for a moment longer. Instead, begin your application with us for a title loan by¬†clicking here.